Thread Tools

The Federal Reserve made $9 trillion in overnight loans to major banks and Wall Street firms during the financial crisis, according to newly revealed data released Wednesday.

The amount of cash being pumped out to the financial giants was not previously disclosed. All the loans were backed by collateral and all were paid back with a very low interest rate to the Fed -- an annual rate of between 0.5% to 3.5%.

Still, the total amount was a surprise, even to some who had followed the Fed's rescue efforts closely.

"The $700 billion Wall Street bailout turned out to be pocket change compared to trillions and trillions of dollars in near zero interest loans and other financial arrangements that the Federal Reserve doled out to every major financial institution," -Sen. Bernie Sanders

wait...what????????

If you can't see your money being robbed from you, well....then it just isnt happening, is it?

can't wait for the right wing to suck the collective private parts of capitalism. Seriously???? How is this system to be trusted if it keeps having to be bailed out?

Oh...and when the american people ask to be bailed out, the REPUBLICANS return with an F.U. we want tax cuts...

The Federal Reserve is not GOP or DEM, they are an uncontrolled, unregulated, un elected powerful body of peopel who's ties are to corporate america. There members are interchanged between government officials and CEOs.

End the Fed.

Remember, This is our 3rd Federal Bank of America, the previous 2 were kicked out of America becuase the people knew they couldn't trust a central bank to plan and manage the economy. Call your congress man and ask him to end this current central bank. There is no need for it, it does nothing but ensure power remains in the hands of the powerful.

The Federal Reserve made $9 trillion in overnight loans to major banks and Wall Street firms during the financial crisis, according to newly revealed data released Wednesday.

The amount of cash being pumped out to the financial giants was not previously disclosed. All the loans were backed by collateral and all were paid back with a very low interest rate to the Fed -- an annual rate of between 0.5% to 3.5%.

Still, the total amount was a surprise, even to some who had followed the Fed's rescue efforts closely.

"The $700 billion Wall Street bailout turned out to be pocket change compared to trillions and trillions of dollars in near zero interest loans and other financial arrangements that the Federal Reserve doled out to every major financial institution," -Sen. Bernie Sanders

wait...what????????

If you can't see your money being robbed from you, well....then it just isnt happening, is it?

can't wait for the right wing to suck the collective private parts of capitalism. Seriously???? How is this system to be trusted if it keeps having to be bailed out?

Oh...and when the american people ask to be bailed out, the REPUBLICANS return with an F.U. we want tax cuts...

GFY GOP......

Click to expand...

No matter what you bich & moan over, it ALWAYS comes down to your hatred of the republican party. Grow up...NOTHING in this country is the fault of one party over the other.

Secondly, you seem to also despise capitalism. So I'll ask you point blank what kind of economy you'd prefer to see. That last question will take a lot of courage to answer honestly...so let's see what you're made of.

BTW...I agree with mcgraw in that the reign of the Fed MUST end and that the Fed has nothing to do with partisanship. So you trying to link the Fed to republicans is laughable.

The loans were made through a special loan program set up by the Fed in the wake of the Bear Stearns collapse in March 2008 to keep the nation's bond markets trading normally.

The amount of cash being pumped out to the financial giants was not previously disclosed. All the loans were backed by collateral and all were paid back with a very low interest rate to the Fed -- an annual rate of between 0.5% to 3.5%.

Click to expand...

These numbers are staggering, stop the out of control government spending..

The Wall Street firm that received the most assistance was Merrill Lynch, which received $2.1 trillion, spread across 226 loans. The firm did not survive the crisis as an independent company, and was purchased by Bank of America (BAC, Fortune 500) just as Lehman Brothers was failing.

Citigroup (C, Fortune 500), which ended up with a majority of its shares owned by the Treasury Department due to a separate federal bailout, was No. 2 on the list with 279 loans totaling $2 trillion. Morgan Stanley (MS, Fortune 500) was third with $1.9 trillion coming from 212 loans.

"As we have previously disclosed, Morgan Stanley utilized some of the Federal Reserve's emergency lending facilities during a time of immense financial turmoil throughout the banking sector and the broader market," Morgan Stanley said in a statement Wednesday. "The Fed's actions were timely and critical, and we commend them for providing liquidity and stabilizing the financial system during that period.''

The largest single loan was by Barclays Capital, which borrowed $47.9 billion on Sept. 18, 2008, in the days after the Lehman bankruptcy. The loan financed Barclays' purchase of Lehman's remaining assets.

My take on it was that he was saying this isn't really capitalism -- and he's right.

I'm as much a proponent of capitalism as anybody, but I'm realistic about it, unlike many of the Republicans who bleat mindlessly about Obama and "socialism." Our system isn't purely capitalist (I don't think there is such a thing) -- this episode shows that quite clearly.

Anybody who is realistic about our economic system understands that there is no "free market," there is government involvement and there is regulation -- and that all of this is how it should be. So it then becomes a question of degree.

Most Americans would have supported attacking Iraq regardless of WMD's.

That is a lie. It was the threat of WMD's coupled with the assertion by the government that Saddam had anything to do with 9/11 that built the case for invasion. At the time, Americans wanted to destroy Al Queda and kill Bin Ladin...period. It wasn't until the Bush administration, with the help of a complicit and lazy Congress, built this pile of sh!t that the People (also lazy and complicit) went along...

Most Americans would have supported attacking Iraq regardless of WMD's.

That is a lie. It was the threat of WMD's coupled with the assertion by the government that Saddam had anything to do with 9/11 that built the case for invasion. At the time, Americans wanted to destroy Al Queda and kill Bin Ladin...period. It wasn't until the Bush administration, with the help of a complicit and lazy Congress, built this pile of sh!t that the People (also lazy and complicit) went along...

Now, what was the question?

Click to expand...

Chill out wistah. My comment was in no manner a "Lie". It was my opinion. Now that you've stated yours, we're all set.

My take on it was that he was saying this isn't really capitalism -- and he's right.

I'm as much a proponent of capitalism as anybody, but I'm realistic about it, unlike many of the Republicans who bleat mindlessly about Obama and "socialism." Our system isn't purely capitalist (I don't think there is such a thing) -- this episode shows that quite clearly.

Anybody who is realistic about our economic system understands that there is no "free market," there is government involvement and there is regulation -- and that all of this is how it should be. So it then becomes a question of degree.

If you want it to be an opinion, something that we all learned in grade school, is to preface your comments in my opinion.. we all have opinions, but evidence based decision making is much better.

In this case we were presented faulty evidence, to further the neo con agenda..

Click to expand...

You still instist upon powdering your pretty face with "liberal powder" no matter what, don't you?

It's OK to speak out against democrats and liberalism. At least I'm on record for criticizing both. You actually believe you're on the "Right-side" of every argument even though the FACT is, you're NOT!

No matter what you bich & moan over, it ALWAYS comes down to your hatred of the republican party. Grow up...NOTHING in this country is the fault of one party over the other.

Secondly, you seem to also despise capitalism. So I'll ask you point blank what kind of economy you'd prefer to see. That last question will take a lot of courage to answer honestly...so let's see what you're made of.

BTW...I agree with mcgraw in that the reign of the Fed MUST end and that the Fed has nothing to do with partisanship. So you trying to link the Fed to republicans is laughable.

Click to expand...

I'm not linking the Fed to the republicans, I'm stating that when Banks screwed up, and lost, the fed was there to bail them out. When capitalism failed the people, there is nobody there to bail the public out. In fact, they just voted DOWN helping out real people. The republican link comes when they pile it on by halting the well being of fellow americans citing "spending"...and in the same frickin breath b!tch about not getting Tax cuts....its frickin AMAZING.

I despise what republicans are currently doing. no doubt about it.

As far as Capitalism goes, It frickin sucks. If this was REALLY Capitalism....these guys would've been allowed to fail We have a puppet economy, and a puppet Gov't. I hate the old sayiong "well if its so bad...what do you think would be better" like you just enjoy the crap sando you've been served. Come on man, its? Its a system that feed off its own greed. And it has been proven by the last 30 years that it does nothing for the common good of the people. Just look at where we are. I'm for a fair system that rewards hard work, and puts criminals who profit form others misery, poverty and health behind bars. I'm certainly falling out of love with what you people who call yoursleves "Fiscal Conservatives" have perverted.

This country is going down the poop shoot, and Republicans are doing nothing but greasing the plumbing.

Thanks.

I sure hope we get tax cuts though, that will solve all this (insert sarcastic emotocon)

Most Americans would have supported attacking Iraq regardless of WMD's.

Chill out wistah. My comment was in no manner a "Lie". It was my opinion. Now that you've stated yours, we're all set.

I sat down with my popcorn to watch Saddam hang...great show!

Click to expand...

I'm chilled just fine. My wording wasn't intended to call you a liar. It was intended to express that what you said was based on false information which was put out as an official lie in order to get the public to go along with the invasion. My bad if it came out wrong.

The public is so easily swayed. The gubmit can make 35% believe in Santa Clause (who is, by the way, VERY real- you better watch out!). Even years after the invasion and after there were no WMD's found, the public believed- in increasing numbers over time- that Iraq had WMD's just before the invasion as government officials continued to propel the lie.Percentage of Americans Believing Iraq had WMD Rises - World Public Opinion

"See, in my line of work you got to keep repeating things over and over and over again for the truth to sink in, to kind of catapult the propaganda."
George W Bush, 5/24/05 [wma download]

You still instist upon powdering your pretty face with "liberal powder" no matter what, don't you?

It's OK to speak out against democrats and liberalism. At least I'm on record for criticizing both. You actually believe you're on the "Right-side" of every argument even though the FACT is, you're NOT!